THE SON of Rupert Murdoch was elected to the board of directors of BSkyB, despite some protest from the shareholders yesterday.

THE SON of Rupert Murdoch was elected to the board of directors of BSkyB, despite some protest from the shareholders yesterday.

BSkyB were at pains to explain the selection of James Murdoch as chief executive to the company was not decided by his father Rupert as they came under pressure from their investors.

Although they said that Rupert Murdoch and three other directors with links to his News Corporation company had not been involved in the vote, some voted against the decision to register their disillusion.

Robert Talbut, chief investment officer at fundmanager Isis told the BBC, "Our view is that the overall structure of the board is still extremely disturbing from an outside shareholders' perspective."

The future of Lord St John of Fawsley is still uncertain after a hand count went against him.

Announcing their first-quarter results BSkyB said average revenues per user (ARPU) increased by £18 to £366 - on track for the company's target of £400 by 2005.

BSkyB said, "The group expects the next significant increase in ARPU to take effect from January 2004 as a result of the recently announced changes in UK and Ireland retail pricing."

The increase in turnover included a 7% rise in advertising sales to £64m, while revenues from interactive services were 70% higher in the quarter at £75m.

At the bottom line, the company achieved pre-tax profits of £12m, compared with £14m a year earlier.

James Murdoch, who took over from Tony Ball aschief executive earlier this month, said, "The currentfinancial year has startedwell and we continue togrow both subscribers and revenues."